DEALS VALUE UP 42% IN MAY, 2022

According to a report, private equity and venture capital funds invested USD 5.3 billion in Indian entities in May 2022. It is 42 percent more than the previous year. The volume of transaction in May were 109, 29 percent down from the previous year.

But it is lesser than the USD 7.5 billion infusion and 117 transactions of April 2022.

INCREASED FOCUS ON THE REAL ESTATE AND INFRASTRUCTURE SECTOR

The investors increased their focus on the real estate and infrastructure sector that is seen in the May 2022 activities.

They invested USD 1.7 billion in May 2022 in the real estate and infrastructure sector.

MONETARY POLICY CAN AFFECT THE CAPITAL FLOWS IN INDIA

The consultancy firm’s partner Vivek Soni said that the macro sentiment will remain positive, but some uncertainty can affect the deals to go forward.

Rising inflation, oil prices spike, depreciation in rupee, and a potential resurgence in COVID-19 cases in the country can be the other downside risk

GROWTH DEALS RECEIVE THE MOST ATTENTION IN MAY,2022

May 2022 saw 14 large deals worth more than USD 100 million, totaling USD 3.9 billion, including the Adanis-controlled Mumbai airport, raising USD 750 million in debt from Apollo Global.

Growth deals received the most attention in May 2022, with USD 2 billion invested across 19 deals, while startup investments received the second-most attention, with USD 1.6 billion invested across 73 deals.

According to the report, the month saw 22 exits worth USD 400 million, compared to USD 12 billion across 17 exits in May 2021 and USD 2.8 billion across 27 exits in April 2022.

According to the report, PE and VC funds raised USD 668 million to be invested in Indian enterprises in the future.